Leaving tax money in your company account...

[SallyAnne]

I said maybe, the fact you are so disorganised with your paperwork and you have been investigated twice.. would lead to the conclusion that maybe, just maybe, your name is more likely to picked up further investigation due to other lapses you have forgotten all about....

No not really. Your divi forms just get filed in your own office - neither investigation has asked to see them.

I get flagged for investigation cause of my high expenses - they've already explained that to me.

[tay]

I was referring to the pattern you already explained in the opening post of paying penalties on your taxes. I am not an expert on who the IRD decides to investigate, but having a record of late paying cannot be helpful to flying below a radar.

[ferret]

Are you looking for a more constructive answer than "cause I'm a lass and can't stop spending"?

Yes! £37k per year is a huge amount of cash. If you are overspending and having to dip into money that is not legally yours then this is called "living beyond your means".

I try to cheer myself up by imagining what may happen if disaster struck. If I could not get a job for 6 months, if my arms dropped off and I could never work again etc.

Surely best to squirrel (no pun intended but may mean we get a comment from AtW) some money away now while earning a good amount. If things go tits up you have a cushion, if the money keeps coming in then can have fun later.

[BA to the Stars]

Fiscal prudence.

Ah in the rest of the country that would be the phrase, however in Yorkshire.....

As the old rhyme goes

Hear all, see all, say nowt
Eat all, sup all, pay nowt
And if tha ever does owt for nowt
always do it for thi sel (has to be said in a Yorkshire accent)

[gingerjedi]

This is sooooo organised!!!!

So what do you do when you need extra cash? Does the money in the other account not make any "take me take me" noises?

Zen teachings say: The road to ultimate enlightenment and peace of mind is to learn how to control your desires and keep enough money for the tax man.

HTH

[tay]

Yes! £37k per year is a huge amount of cash. If you are overspending and having to dip into money that is not legally yours then this is called "living beyond your means".

I try to cheer myself up by imagining what may happen if disaster struck. If I could not get a job for 6 months, if my arms dropped off and I could never work again etc.

Surely best to squirrel (no pun intended but may mean we get a comment from AtW) some money away now while earning a good amount. If things go tits up you have a cushion, if the money keeps coming in then can have fun later.

What he said.....

37k net is a lot of money to live on I think

[Fran]

I have been seat of my of my pants, however, this year will be different. My new years resolutions are:

* Transfer 35% of each payment to the business into a business savings account (this should mean I have less of a shortfall when the tax man comes
* Change accountants to one who gives me feedback, or even just looks occasionally at my monthly bookkeeping!

BTW, I know I should know this but I'm a noob, when is the first corp tax payment, June?

[SallyAnne]

I was referring to the pattern you already explained in the opening post of paying penalties on your taxes. I am not an expert on who the IRD decides to investigate, but having a record of late paying cannot be helpful to flying below a radar.

I reckon once you're flagged you're probably on a list like. But they've told me twice that it's because of high expenses.

And both times I've been squeaky clean by the way...I'm not the most organised person i the world, but everything gets done eventually, and properly.
You're not deemed a "bad person" if you have to pay the odd late payment fine. If anything, it's extra tax for doing nothing - they like that.

[oracleslave]

Surely best to squirrel (no pun intended but may mean we get a comment from AtW) some money away now while earning a good amount. If things go tits up you have a cushion, if the money keeps coming in then can have fun later.

I thought the same for a long time. No longer. I believe the attitude of "life is a journey and not a destination" does hold true. When is later? Personally I declare loads more than £37k a year as life is for living!

[Churchill]

I reckon once you're flagged you're probably on a list like. But they've told me twice that it's because of high expenses.

And both times I've been squeaky clean by the way...I'm not the most organised person i the world, but everything gets done eventually, and properly.
You're not deemed a "bad person" if you have to pay the odd late payment fine. If anything, it's extra tax for doing nothing - they like that.

Is it worth the stress though?